Hilton and the state premier have noted a surge in interest in Adelaide’s East End, driven by significant events in the region.
Industry experts indicate a robust demand for additional hotel accommodations from both tourists and business travelers.
Plans are underway for the construction of fifteen new hotels within the Adelaide central business district (CBD).
The recent announcement of a new Hilton hotel in the East End contributes to a forthcoming surge in accommodation projects in the CBD. Stakeholders are optimistic that the influx of visitors will adequately fill the thousands of new hotel rooms being developed.
The Hilton project will feature 251 rooms across 27 stories, marking it as one of fifteen new hotels slated for the CBD, alongside numerous other developments that are either in the planning stages or currently under construction. If all proposed projects move forward, the CBD could see an addition of over 2,000 hotel rooms.
Anna Moeller, the chief executive of the Australian Hotels Association SA, expressed confidence in the demand for the new hotel rooms, citing stable occupancy rates. “There is definitely sufficient demand, especially with an increase in significant events attracting visitors from across the state, country, and even internationally, which bolsters room growth,” she stated. “Our occupancy rates remain solid, indicating that this expansion is justified.”
Among the hotels expected to debut in the Adelaide CBD this year are the Treehouse Hotel with 248 rooms, located above the Market Square project on Grote Street, the Little National Hotel on North Terrace, and the Crystalbrook Sam Hotel on Halifax Street. The Oakwood Premier Adelaide is also set to launch on Wright Street next year, along with the Veriu serviced apartments at the intersection of King William Street and Grenfell Street. Additionally, Westin has announced plans to occupy 19 floors on North Terrace, although only preliminary work has commenced thus far.
Despite the growth in hotel numbers, Moeller emphasized that there is no oversupply of accommodations. “None of the hotels are experiencing a loss of room sales due to the new developments coming online,” she remarked.
The Adelaide Marriott Hotel, featuring 285 rooms, opened in 2024 within a new 15-story structure that integrates with the historic 154-year-old General Post Office. Other recent openings include the Sofitel, the Hotel Indigo Adelaide Markets, and the Majestic M Suites in North Adelaide, all launched in 2021. In 2020, the Eos by SkyCity atop the Adelaide Casino, the Oval Hotel at Adelaide Oval, and the Crowne Plaza on Frome Street also entered the market.
Both Moeller and Daisy Miller, the new head of the Tourism Industry Council of South Australia, acknowledged the vital role that business travelers play in the local tourism sector, particularly in the CBD. “Business travelers and convention participants tend to spend more during their visits,” Miller noted. “This influx of hotel investment reflects not only the significance of major events that draw attention to our city but also underscores our status as a hub for business collaborations.”
Miller highlighted the importance of ongoing events occurring throughout the week rather than just on weekends, contributing to a steady flow of visitors. She expressed optimism that the demand for hotel rooms in Adelaide would continue, reinforcing confidence in the local economy and encouraging further investments by businesses.
According to Tushar Raniga, director of development at Hilton Australasia, the new project illustrates their belief in Adelaide’s potential for sustained growth in business, tourism, culture, and major events. The Hilton hotel is expected to open in 2031, generating 700 jobs during construction and 300 permanent positions in hospitality.
In the suburbs of Adelaide, the 77-room Hotel Panorama is scheduled to open on Friday, replacing the former Tonsley Hotel, which was demolished in 2024 to facilitate the construction of the Torrens to Darlington underground motorway project. The same group also renovated the nearby Marion Hotel, adding accommodations in 2019.
Other hotel projects outside the CBD currently in progress include the Marine and Harbours Hotel in Port Adelaide and the Alexandra Terrace hotel in Glenelg. Recently, the George Hotel in Glenelg opened last year, followed by the Urban Rest Hackney Hotel, which launched earlier this year.
